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ASH Daily news for 16 September 2011

HEADLINES

  • Independent tobacco retailers profits hit by falling margins

    Tobacco companies are undermining "the viability of independent retailers" by steadily chipping away at their margins, a leading wholesaler has warned.

    Figures seen by The Grocer show the trade margin shared between the wholesaler and retailer for the UK's best selling cigarette brand Imperial Tobacco's Lambert & Butler King Size has almost halved in the past 21 years from 11.02% in 1990 to 6.26% this March. That means ­retailers and wholesalers now share just 40p per pack instead of the 71p they would have had if margins were still at 1990 levels.

    It is a similar story with Embassy No 1 king size, which has seen its margin fall from 12.2% to 7.7% over the same period, and Richmond KS, which now offers a margin of 5.8%, down from 6.5% in 2006.

    Londis retailer Arjun Mehr said tobacco companies had dropped margins to keep prices competitive for smokers. "They should have maintained the margin we had before. Tobacco companies have got to be very careful they're not giving customers a better price point at our expense." 

    Source: The Grocer - 10 September 2011
    Link: http://bit.ly/q99vRm

  • HMRC cracks down on duty-free tobacco re-selling

    More checks could be carried out in connection with the number of cigarettes carried by individuals from the EU to the UK, travellers have been warned.

    There is still no limit on airport purchases on the products but HM Revenue & Customs (HMRC) has advised that the Minimum Indicative Levels (MILs) are to change on 1 October. This means that HMRC is ‘more likely to ask questions’ when more than 800 cigarettes or 1kg of tobacco is bought at one time.

    The move has been made to help crack down on goods being sold in the UK at tax free prices and to align the levels with Europe. 

    Source: Travel-Daily - 15 September 2011
    Link: http://bit.ly/o34Jwi

  • USA: Department of Transportation moves to ban e-cigarettes on planes

    Puffing on electronic cigarettes is already a no-no on flights, but the government wants there to be no doubt.

    The Department of Transportation (DOT) is proposing to explicitly ban the use of the devices on planes.

    "Airline passengers have rights, and this new rule would enhance passenger comfort and reduce any confusion surrounding the use of electronic cigarettes in flight," said Transportation Secretary Ray LaHood.

    Electronic cigarettes are a potential cause for concern because "there is a lack of scientific data and knowledge of the ingredients in electronic cigarettes," the DOT said.

    But the Tobacco Vapor Electronic Cigarette Association criticized the move, insisting that the devices only emit water vapor.

    Source: CNN - 15 September 2011
    Link: http://bit.ly/nNx1VT

  • Lower smoking rates lead to rapid decline in lung cancer in western US

    Over nearly a decade, from 1999 to 2008, rates of new lung cancer cases dropped among men in 35 states and women in six states, with residents in the West leading the pack, according to a report by the Centers for Disease Control and Prevention.

    The results show that by curbing smoking, lung cancer rates could decline to levels not seen in a century, producing significant health care cost savings and saving lives, CDC researchers said.

    States that invested in tobacco control strategies such as higher tobacco prices, media campaigns and 100 per cent smoke-free policies saw larger declines in smoking.

    The study is the first time the CDC has broken down smoking and lung cancer trends at a state level.

    While lung cancer rates among men continued to fall, it was only from 2006 to 2008 that women showed decreases nationwide, bucking a years-long rising trend.

    Researchers said the Southeast has shown the least progress and probably has the weakest tobacco control programs.

    see also: 
    Campus smoking ban reduced students' smoking, changed attitudes - Medilexicon
    According to an Indiana University study, a campus smoking ban -- lightly enforced -- significantly reduced student smoking during a two-year period and changed students' attitudes toward smoking regulations. The study examined students' smoking behaviors on two similar campuses -- one with (Indiana) and one without (Purdue) a campus-wide smoke-free air policy.

    NYC smoking rate plunges to all-time low as public ban stops 500,000 New Yorkers lighting up - Daily Mail 

    • City’s smoking rate falls to 14 per cent in nine years
    • Ban on smoking in bars and restaurants from 2002
    • Falls down to campaigns, public bans and higher taxes
    • 35 per cent have quit since 2002 but 850,000 still smoke
    Source: The Telegraph - 16 September 2011
    Link: http://tgr.ph/nGy10w

  • Nestle, Glaxo lobby UN over ‘epidemic’ battle

    Nestle SA, GlaxoSmithKline Plc and SAB Miller SA face health lobbyists next week in New York as the first United Nations General Assembly on disease since the 2001 AIDS summit tries to combat the world’s biggest killers.

    Company officials join political leaders and health groups to come up with a plan to reverse the rising tide of non- communicable diseases like cancer, diabetes, and heart and lung disease that the World Health Organization says will cost the global economy more than $30 trillion over the next 20 years.

    On the table are proposals to fight obesity, cut tobacco and alcohol use and expand access to lifesaving drugs in an effort to tackle unhealthy diets and lifestyles that drive three of every five deaths worldwide. At stake for the makers of snacks, drinks, cigarettes and drugs is a market with combined sales of more than $2 trillion worldwide last year.

    “It’s kind of like letting Dracula advise on blood bank security,” said Jorge Alday, associate director of policy with World Lung Foundation, which lobbies for tobacco control. “There’s important expertise there, but you have to question the motive.”

    See also: 
    Conflicts of interest and the UN high-level meeting on non-communicable diseases - The Lancet

    Source: Bloomberg - 16 September 2011
    Link: http://bloom.bg/rsgt93